Beyond Meat BYND IPO

[SRD]

Beyond Meat BYND launched an IPO today, it appears in the app but says that it isnt availible online. Will it be availible through IG? If so, When?

[Caseynotes]

@SRD,  you might find it's available via phone to the IG dealing desk.

[Guest Marc]

Hi, 

Why can't i shortsell Beyond Meat? 

Thanks,
Marc

[JamesIG]

19 hours ago, Guest Marc said:

Why can't i shortsell Beyond Meat? 

Hi Marc - this stock is currently unborrowable in the underlying market. This is likely due to the significant rally in the stock and a large percentage of the stock being shorted. You can give us a call where we can manually check the underlying market and other liquidity providers to see if we can get borrow to short, however please note if this is possible there may be a large borrow charge. We'll inform you if this is higher than normal before confirming to open the short. 

You should be able to close this trade at any time on the dealing platform without having to call (normal market conditions dependent of course). 

[JamesIG]

@TrendFollower - Sort Interest is over 35% for Beyond Meat. To put that in perspective, Tesla is closer to 28%.

Unfortunately you'd have to call to see if we can get borrow on a case by case basis. 

Sort interest costs will also likely be large. 

[JamesIG]

Borrow costs are huge at 32.51% currently. This is a cost in the underlying market. 

Tesla, by comparison, is 1.42% 

[Ludwik Chodzko-Zajko IG]

Evening @TrendFollower

Still absolutely zero borrow available in the market. Indicative borrow charges (from one of our LPs) are hitting 600% per annum this evening, still no-one lending.

Suspect we'll see decent volatility in this for a good while. 

Have a good WE.

[PandaFace]

Ever had any of their products @TrendFollower ?

[PandaFace]

I agree this is going to be offered to the pits but s’good food. 

[Ludwik Chodzko-Zajko IG]

Evening all,

The shares desk have confirmed there is limited borrow available in the market this evening - current borrow charge is 100% per annum, so pretty steep. Availability & cost will likely vary over the coming days.

You'll need to call in should you wish to open a short position ( buying or selling to close can be done via the platform).

 

In other news - Honest burger also sell the BYND patty. Few of us on desk had one this evening - probably not allowed to comment on how it was so I won't...

 

 

 

[PandaFace]

6 hours ago, TrendFollower said:

Beyond Meat's valuation in my opinion is absurd. The article below may be of interest to some of you.

Beyond Meat Tanks 13 Percent After-Hours Because of This Terrible News

https://www.ccn.com/news/beyond-meat-tanks-13-percent-because-of-this-terrible-news/2019/07/29/

The current chart 'daily' is below to show the downside potential on this stock.

For me those who invested pre IPO will be exiting without the man on the street even realising. Those earlier investors will exit at a huge profit as they will have invested at lot lower prices than even the IPO price. They will be rewarded heavily. It is those who decided to join the party late 'herd' that could be burnt badly.

I am suggesting this from my personal experience of investing in start up growth businesses.

Haven’t you been calling this sell off since its IPO at $25? Only 10x plus since then but yeh 👍🏻

[phillo]

[phillo]

7 hours ago, PandaFace said:

Haven’t you been calling this sell off since its IPO at $25? Only 10x plus since then but yeh 👍🏻

a different view : - https://ftalphaville.ft.com/2019/07/30/1564474416000/Beyond-Meat-acts-rationally--upsets-investors/

[trade247]

3 hours ago, elle said:

a different view : - https://ftalphaville.ft.com/2019/07/30/1564474416000/Beyond-Meat-acts-rationally--upsets-investors/

one for the diary "Your early investors have backed you, and they deserve a reward for their perseverance. Under the terms of the offering, they, and you, can sell your holdings 180 days after the listing, on October 29."

[trade247]

Thank you TrendFollower, very cool! 

[JamesIG]

17 hours ago, TrendFollower said:

This is one example of how the odds are stacked against the trader and in favour of the broker. 

No, it isn't. 

Whilst it's known that trading on the worlds global financial markets can be tough and has risks, I must reassure you that your thoughts on our business model is incorrect. This has been discussed a number of times, however I'll copy and paste for the sake of the convenience.

Our business model is based on providing individuals with the opportunity to trade the world’s financial markets, in exchange for fair and proportionate transaction fees. However, we do not typically benefit from trading losses that an unsuccessful client may experience. We do not have a view on the direction of the market, and it is entirely in our interest for your trade to be executed correctly based on the instructions you provided. There is absolutely no benefit what-so-ever to IG having a stock available on the platform which you can't trade on. 

As we earn revenue from you trading, we want you to trade, not lose. You can read more about that here, https://www.ig.com/uk/how-does-ig-make-money or watch a video (which we're looking to update) here:

As a financially regulated company which is listed on the LSE, this methodology is supported by our quarterly and annual results, and our latest Investors Relation presentation which may be of interest.

If you'd like to discuss this in more detail, I'd suggest you give us a call. 

[247trader]

Beyond meat IPO lock up period ends 29th Oct
should be of interest. 9,625,000 at offer price of 25 USD coming back online.

spicy.

 

[phillo]

 Not much you can do ( no shorts! ) but wait

[CharlotteIG]

3 hours ago, TrendFollower said:

Could this be merely a 'Short Covering - Relief Rally'? 

Our analysts wrote a piece on Beyond meat this morning. You can see the Analysts thoughts below and find the full article by clicking here.